Jadestone Energy acquires Ogan Komering PSC

SINGAPORE -- Jadestone Energy Inc. has announced that Jadestone Energy International Holdings Inc. , a wholly-owned subsidiary of JSE, has closed the acquisition of a 50% interest in the Ogan Komering Production Sharing Contract (PSC), Sumatra, Indonesia.

Jadestone, as buyer, and Jadestone Energy Limited (JEL), as guarantor, have signed a definitive Sale & Purchase Agreement (SPA) with Repsol Oil & Gas Canada Inc., as seller, for the acquisition of all issued and outstanding shares in Talisman Ogan Komering Ltd. (TOKL). TOKL holds a 50% interest in the PSC. The SPA was signed and the acquisition closed concurrently.

The PSC’s corresponding block is located in South Sumatra, Indonesia. The remaining 50% in the PSC is held by PT Pertamina Hulu Energi Ogan Komering, an affiliate of PT Pertamina Persero, Indonesia’s national oil company. TOKL, together with Pertamina Ogan Komering, operates the PSC through a joint-operated body. The production rate of the Ogan Komering block since the acquisition effective date of July 1, 2016 has averaged 3,000 boepd; approximately 70% oil and 30% gas.

Jadestone has closed the acquisition for a total consideration of $5.8 million, subject to working capital and other customary adjustments. The payment was funded from cash on hand.